Type: Securities Fraud Investigation

The Schall Law Firm, a national shareholder rights litigation firm, announces that it is investigating claims on behalf of investors of Morphic Holding, Inc. (“Morphic” or “the Company”) (NASDAQ: MORF) for violations of the securities laws.

The investigation focuses on whether the Company issued false and/or misleading statements and/or failed to disclose information pertinent to investors. The FDA rejected the epinephrine nasal spray developed by ARS on September 19, 2023. The FDA’s complete response letter (CRL) requested additional efficacy and safety day from the Company as well. Based on this news, shares of ARS fell by almost 55% in intraday trading on September 20, 2023.

The investigation focuses on whether the Company issued false and/or misleading statements and/or failed to disclose information pertinent to investors. Xylem is the subject of a report published by Spruce Point Capital Management on August 9, 2023. The report includes “concerns about the accuracy of the Company’s cash liquidity given findings of two sets of financial statements and its ability to meet Wall Street’s aggressive financial expectations.” According to the report, the Company’s merger with Evoqua “is predicated primarily on $140 million of cost savings synergies, and despite dangling a carrot of potential revenue synergies, Xylem has not offered any quantitative assessment of the opportunities.”

The investigation focuses on whether the Company issued false and/or misleading statements and/or failed to disclose information pertinent to investors. Orthofix announced on September 12, 2023, the termination of its CEO, CFO, and CLO. The Company stated, “The Board’s decision follows an investigation conducted by independent outside legal counsel and directed and overseen by the Company’s independent directors. As a result of the investigation, the Board determined that each of these executives engaged in repeated inappropriate and offensive conduct that violated multiple code of conduct requirements and was inconsistent with the Company’s values and culture. These matters are unrelated to and do not impact the Company’s strategy, results of operations or previously filed financial statements.” Based on this news, shares of Orthofix fell by almost 25% on the same day.

The investigation focuses on whether the Company issued false and/or misleading statements and/or failed to disclose information pertinent to investors. Acelyrin is the subject of a report published by Dow Jones Newswires on September 11, 2023. According to the report, “The Los Angeles-based pharmaceutical company said part B of its Phase 2b/3 trial examining the use of izokibep for the treatment of moderate-to-severe Hidradenitis Suppurativa (HS), an inflammatory skin condition, didn’t meet statistical significance for its primary endpoint by week 16.” Based on this news, shares of Acelyrin fell by more than 60% on the next day.

The investigation focuses on whether the Company issued false and/or misleading statements and/or failed to disclose information pertinent to investors. VNET issued a press release on February 15, 2023, announcing that “its board of directors (the “Board”) approved and authorized the issuance of up to 555,000 newly created Class D ordinary shares to Mr. Sheng Chen, the Executive Chairman of the Board. The Class D ordinary shares will have the same rights as the Company’s existing Class B ordinary shares except for voting rights, and holders of Class D ordinary shares shall be entitled to 500 votes per share on all matters submitted to shareholder vote.” The Company further stated that the “issuance of the newly created Class D ordinary shares is an initiative by the Board to protect the Company’s interests and continued stability.”

The investigation focuses on whether the Company issued false and/or misleading statements and/or failed to disclose information pertinent to investors. Tengjun announced on September 5, 2023, that its financial statements on Form 10-K for “the fiscal year ended December 31, 2022, should no longer be relied upon due to accounting methodology errors in such financial statements and that the Board deems it advisable and in the best interests of the Company to restate the financial statements by amending its annual report on Form 10-K for the fiscal year ended December 31, 2022 as soon as reasonably practicable.” Based on this news, shares of Tengjun fell by more than 17.6% on the same day.

The investigation focuses on whether the Company issued false and/or misleading statements and/or failed to disclose information pertinent to investors. C3 is the subject of a report by Barron’s published on September 7, 2023, titled: “C3.ai CEO Explains Profit Delay as Stock Falls.” According to the report, “C3.ai shares were down sharply Thursday after the AI software company posted solid results for its latest quarter, while forecasting a larger full-year loss than previously expected.” Based on this news, shares of C3 fell by 12.4% in intraday trading on the same day.

The Schall Law Firm, a national shareholder rights litigation firm, announces that it is investigating claims on behalf of investors of Agiliti, Inc. (“Agiliti” or “the Company”) (NYSE: AGTI) for violations of the securities laws.

According to the Complaint, the Company made false and misleading statements to the market. AeroVironment claimed it was monitoring supply chain issues and that it had a strong basis for growth based on its backlog. Despite this claim, the Company later reduced its guidance based on “the negative impact from supply chain delays, extended procurement cycles due to the global COVID-19 pandemic, slower decision making in Washington tied to Continuing Resolution related budget uncertainties and staffing shortages.” Based on these facts, the Company’s public statements were false and materially misleading throughout the class period. When the market learned the truth about AeroVironment, investors suffered damages.